Correlation Between Juggernaut Exploration and Forum Energy
Can any of the company-specific risk be diversified away by investing in both Juggernaut Exploration and Forum Energy at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Juggernaut Exploration and Forum Energy into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Juggernaut Exploration and Forum Energy Metals, you can compare the effects of market volatilities on Juggernaut Exploration and Forum Energy and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Juggernaut Exploration with a short position of Forum Energy. Check out your portfolio center. Please also check ongoing floating volatility patterns of Juggernaut Exploration and Forum Energy.
Diversification Opportunities for Juggernaut Exploration and Forum Energy
-0.3 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Juggernaut and Forum is -0.3. Overlapping area represents the amount of risk that can be diversified away by holding Juggernaut Exploration and Forum Energy Metals in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Forum Energy Metals and Juggernaut Exploration is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Juggernaut Exploration are associated (or correlated) with Forum Energy. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Forum Energy Metals has no effect on the direction of Juggernaut Exploration i.e., Juggernaut Exploration and Forum Energy go up and down completely randomly.
Pair Corralation between Juggernaut Exploration and Forum Energy
Assuming the 90 days horizon Juggernaut Exploration is expected to generate 0.82 times more return on investment than Forum Energy. However, Juggernaut Exploration is 1.22 times less risky than Forum Energy. It trades about -0.06 of its potential returns per unit of risk. Forum Energy Metals is currently generating about -0.05 per unit of risk. If you would invest 5.70 in Juggernaut Exploration on September 1, 2024 and sell it today you would lose (0.90) from holding Juggernaut Exploration or give up 15.79% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Juggernaut Exploration vs. Forum Energy Metals
Performance |
| Timeline |
| Juggernaut Exploration |
| Forum Energy Metals |
Juggernaut Exploration and Forum Energy Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Juggernaut Exploration and Forum Energy
The main advantage of trading using opposite Juggernaut Exploration and Forum Energy positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Juggernaut Exploration position performs unexpectedly, Forum Energy can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Forum Energy will offset losses from the drop in Forum Energy's long position.| Juggernaut Exploration vs. BCM Resources | Juggernaut Exploration vs. Eskay Mining Corp | Juggernaut Exploration vs. Nevada King Gold | Juggernaut Exploration vs. Skeena Resources |
| Forum Energy vs. Petroleo Brasileiro Petrobras | Forum Energy vs. Equinor ASA ADR | Forum Energy vs. Eni SpA ADR | Forum Energy vs. YPF Sociedad Anonima |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
Other Complementary Tools
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators |